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Market Roundup

* The Indian rupee regained lost ground by gaining a second week in a trot following risk-on sentiments and a better macro environment. RBI policy remained non-event for the traders as it has held the rate unchanged with the withdrawal of the accommodative stance. However, they are still worried about the inflation and geopolitical uncertainties.

* Spot USDINR depreciated 11 paise to 83.29 but remained near record level. The direction of the pair is still indicating bullishness. In the near term, it has resistance at 83.50 and 83.70 while on the downside 82.90 remains the strong support

* Continued building up FX reserves and higher oil prices remain short-term risks for the rupee, while the rupee’s beta to the dollar index has become more negative. A return to October highs for the dollar index of around 107 would suggest the rupee going to 83.7 per dollar.

* India's foreign exchange reserves (forex) increased $2.951 billion to $645.583 billion for the week ended March 29, data released by the Reserve Bank of India (RBI) showed on Friday, April 5. This is the sixth consecutive week of a jump in overall reserves, after having risen by $26.5 billion in the previous five weeks.

* Last week, Foreign institutions sold $321mln in equities and $420mln in debts.

* India’s benchmark Nifty headed north for the third week in a row to close at a record level of 22513. The domestic indices outperformed among the major amid domestic inflows.

* Brent traded near $89 a barrel after closing at the highest level in over five months on Friday. West Texas Intermediate fell under $85. Oil has rallied recently on escalating geopolitical tensions and supply shocks,raising the prospect of the global benchmark reaching triple figures.

* Gold smashes through another top – a new record high as Chinese buying continues along with other central banks.

* The ICE dollar index traded slightly lower while the US treasury continued it’s north bound journey amid upbeat economic data.

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